Gunmen opened indiscriminate firing on Ghulam Hassan Mir, a shopkeeper, at Sadrabal near Hazratbal in the city at around 9pm, the police said.
Mir and one of his customers, Abdul Rashid, were injured in the firing, the police said adding the duo were taken SKIMS hospital.
The doctors said the injured persons were being operated upon and their condition was critical.
According to sources, Mir is a released militant hailing from Tral area of south Kashmir's Pulwama district and had moved to Srinagar to open his business.
No militant outfit has so far claimed responsibility for the attack.